Getting A Car – Californian Auto Sales Tax Laws Unraveled

If you are new to California, also you wish to get a car, there are some things which you need to know concerning Californian auto sales tax laws and other items too. Here are things which you should think about before buying a car at California.

There’s no “cooling off” time in California over vehicles bought from a dealer till you get something called contract cancellation. These options are got on some second hand cars from dealers. Or, you do not have 48 hour cancellation time which is available in other provinces.

According to Californian auto sales tax laws, the use and sales tax over a vehicle might vary depending on the county and city.

Vehicle purchases are based on taxes levied by the county and city in which the customer registers the automobile, and not in the county in where it’s bought. This contradicts the (assumed) advantage of buying an automobile in a “cheaper” city or county for saving sales tax. Most of the car buyers also consider getting out of the state to get a car for saving sales tax. (Like, Oregon has no sales tax over automobiles.) But, this will not help you, as while registering the car, Californian auto sales laws says you would be charged then.

According to Californian auto sales tax laws, the normal sales tax over an automobile would be 7.25% – the recent rate hike was in 2007. Also, in many cities, the rate might be high. In some, you would pay twice the full percentage over this particular amount, or even 9.25%.

When an automobile is got, sold, given as gift, inherited, or changed hands, the title should be shifted to the latest owner.

When you get an automobile in California in a private concern, you have 10 days for applying for a title. You should do this in the DMV office. It is wise to take an appointment, since the office might be very crowded. While purchasing a car from one dealer, that dealership should take care about the paperwork. The fee for title transfer is $15 and the certificate is $16. If the title is destroyed or lost, you will get a replacement for $16.

Each time you go to a new province, you can expect differences in tax rates and laws. Understanding Californian auto sales tax laws and other Californian laws would help you to make a decision while you get your new car.

Leave a Reply